The Two Levels of Internal Control Are _______

question 22

Multiple Choice

The two levels of internal control are _______.

• A)entity-level controls and transaction-level controls
• B)entity-level controls
• C)transaction-level controls
• D)transaction-level and auditor-level controls

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Definitions:

Fees Earned

Income received from providing services.

Wages Expense

The total cost incurred by a business for the payment of wages to employees for a specific period.

Proprietorship

A proprietorship, also known as a sole proprietorship, is a type of business that is owned and run by one individual and where there is no legal distinction between the owner and the business entity.

Liabilities

Liabilities are financial obligations or debts that a company owes to others, to be settled over time through the transfer of economic benefits including money, goods, or services.